xsuddensam

The Perfect Storm: Semi-Annual Economic Review

A well written, no nonsense and informative article.


Regarding investing in emerging markets, the author says:

"....That said, not all emerging markets are created equal. Many emerging markets are cheap because they are genuinely at risk. Here the things to look for are poor current account balances, trade deficits, government budget deficits and a track record of over spending, and worst of all high levels of external debt with a low level of fx reserve protection. Sounds familiar? Yes, that was Asia a decade ago. "

Sounds familar? Yes, that is the United States today. So why would anyone want to invest here?

Last Thursday Was the Bottom - It's Time to Get Back in

Like a wise man said about profits,"You can have the first and last 20%. I'll take the middle 60%.

Stocks: Is the Tide Turning?

As a consumer, I haven't bought anything in the past two months except groceries, gasoline, and of course, wine and beer to ameliorate the distress.

I was fortunate to sell stocks early. I'm certainly not going back in now. As someone said regarding profits, "You can have the first and last 20%, I'll settle for the middle 60%"

Can Stocks Continue to Pop?

What are you smoking? These wild swings are proven characteristics of a bear market.

This is a classic SUCKER'S RALLY!

Will Bear Market Rally Continue or Stall Out?

Sucker's rally!

Why This Isn't Financial Armageddon

All star cabinet? Clinton, Richardson, Gates, Emanual and all the others being considered or named for the White House staff and the cabinet are from the same old Washington crowd!

Give me a break!

On Nov 23 12:51 AM Asbytec wrote:

> Another thought has hit me recently. There is an old saying that
> the right men rise to power during trying times, as in WWII. It's
> beginning to look as if Obama is that man (along with his all star
> cabinet.)

Why This Isn't Financial Armageddon

Gee, Larry Kudlow will be happy to know that Goldilocks is alive and well in Manila.

The Downfall of Keynesian Economics and the U.S. (Part 3 of 3)

I've read all three parts with interest and the subsequent posts, many of which are quite lucid and edifying. As often, I find there's no real consensus.

One thing is for certain, our financial predicament is a manifestation of our collective thinking and of our untamed desire to accumulate "things" which we do not need nor can reasonably afford. This may be an underlying frailty in the human condition and may never change without right thinking.

The Downfall of Keynesian Economics and the U.S. (Part 2 of 3)

The author states:

"So we have many home owners who owe money on their homes. Unlike the farmer scenario where the capital stayed in the economy, the money now sits in the forex holdings of the Chinese because of our massive trade deficit."

Wait a minute, I'm missing something here. Doesn't the money borrowed to purchase the home go to the builder or the seller of the home? Unless the builder or seller are Chinese, that money stays here.

The author further states:

"In very recent history, this has been fine because China has been taking its excess U.S. dollars and buying MBS, U.S. debt, and other dollar denominated assets. This brings these dollars back into the U.S. economy which is absolutely essential for a Keynesian economy to survive"

This Keynesian economy is quite the scam as "paper" assets are treated the same as hard assets. The toxic sub-slime mortgage securities and other dollar denominated "paper" assets, in all reality, are real economic liabilities when they become underlying securities for new debt. It's beyond me that reasonable thinking people, or the Chinese for that matter, can believe that a "promise to pay" is an asset.

Looks like and smells like a rat to me.

The Downfall of Keynesian Economics and the U.S. (Part 1 of 3)

Whoops, the above quote is attributed to poster CaptainJJack

The Downfall of Keynesian Economics and the U.S. (Part 1 of 3)

"Historically this monetary deficit is periodically corrected by recessions and depressions with massive defaults on loans. Banks write off defaulters' debts without collecting and eliminating the money that is owed, so "free" money is left in the hands of whoever sold stuff to the borrowers. This makes it possible for the non-bankrupt to continue paying off their bank debts."

It seems that under this theory, there should be no stigma attached to not paying off one's loans since default is preordained to some degree; and since we are now in a recession, maybe those who have large and unmanageable unsecured debt should go ahead and default. Losing one's credit is much more palatable than continuing to be a slave to indebtedness. Actually, it may be profitable and it certainly would be financially healthy to have no credit.

Hmmmmmmm....maybe I should just run up my zero balance credit cards and.... ;-)

Did President Bush's Speech Spark the Rally?

venividivici,

I had a good day and I can afford to be generous ;-)


On Nov 15 07:44 AM venividivici wrote:

> I think you are dead right Cranky Investor. I think you are being
> a little too generous to the guys on CNBC, xsuddensam.

Did President Bush's Speech Spark the Rally?

Is this article for real or is it a spoof.? I thought I was reading a script from Saturday NIght Live. I have to admit that giving Bush credit for a sucker's rally makes sense, but praising that flag waving luntic Larry Kudlow is just too much.

The opinions of Kudlow, Cramer, Radigan, Gasperino and the rest of the blowhard, always optimistic stock market touts on CNBC are not at all credible. They've painted a rosy picture all the way down from last year's highs. Today, all you hear from them is the word "bottom". Next you'll be hearing Cramer's favorite slogan:

BUY! BUY! BUY! BUY! BUY!

Anyone who seriously listens to these clowns needs to get a grip.

The Stock Market Is Not the U.S. Economy

Borenstein,

Can I buy your crystal ball on CNBC?

The Stock Market Is Not the U.S. Economy

Hello. Yes, I was watching the sucker's rally yesterday. If I still owned stocks, I'd be selling into these rallies. These wild swings, by definition, describe a bear market.

Buckle up because you ain't seen nothin' yet!



On Nov 14 09:23 AM R. Ennis wrote:

> What about yesterday? Hello? Were you watching?